Uppercase is a magazine operating in Calgary and was named one of ‘Canada’s 10 Most Remarkable Small Businesses’ in September by the Globe and Mail. The part of this story which interested me the most is the fact that the magazine has over 4000 subscribers worldwide. I had originally set out to consider the effects of businesses choosing a location to operate, however, soon realised that often businesses today can make use of a strong online presence as a substitute for a prime location.
The extent to which a company should be based online is dependent on a number of factors, including its size. For a smaller business, it may be more profitable to operate online in order to save on costs of having premises and therefore incurring greater overhead and labour costs. However, for larger organisations, they may need to begin to target consumers through operating out of physical locations, which enabling greater customer interaction and the creation of brand loyalty.
For businesses which are concerned with providing a service to consumers, it may be beneficial to be in direct contact with consumers, meaning an online approach is not as convenient. This then leads to many considerations to decide where it is best to operate, as discussed by Perry King. The main factor of importance is that a business finds the best fit for itself, creating a balance which is most effective in reaching consumers.
References
- http://www.bbc.com/news/business-29027463
- http://www.theglobeandmail.com/report-on-business/small-business/sb-tools/top-tens/remarkable/article20557482/
- http://www.uppercasemagazine.com/